Company performance

Company performance

One of the parameters to determine the SRP (Ship Risk Profile) is the Company Performance. The method used for this is explained in annex 7 of the Paris MoU text.

Company performance takes account of the detention and deficiency history of all ships in a company’s fleet while that company was the ISM Company for the ship. Companies are ranked as having a very low, low, medium or high performance. The calculation is made daily on the basis of a running 36-month period. There is no lower limit for the number of inspections needed to qualify except a company with no inspections in the last 36 months will be given a “medium performance”.

The Company Performance is calculated as follows:
Company performance takes account of the detention and deficiency history of all ships in a company’s fleet while that company was the ISM company for the ship. Companies are ranked as having a “very low”, “low”, “medium” or “high” performance. The calculation is made daily on the basis of a roling 36-month period. There is no lower limit for the number of inspections needed to qualify except a company with no inspections in the last 36 months will be given a “medium performance”. The formula consists of two elements, the deficiency index and the detention index.

Deficiency Index 

When counting deficiencies each ISM related deficiency is weighted at 5 points. Other deficiencies are valued at 1 point. The Deficiency Index is the ratio of the total points of all deficiencies of all ships in a company’s fleet to the number of inspections of all ships in the company’s fleet within the last 36 months. This ratio is compared with the average for all ships inspected in the Paris MoU over the last 3 calendar years to determine whether the index is average, above average or below average as follows:

Deficiency index                       Deficiency points per inspection

Above average                                > 2 above PMoU average

Average                                          PMoU average ± 2

Below average                                > 2 below PMoU average

Detention Index 

The Detention Index is the ratio of the number of detentions all ships in a company’s fleet to the number of inspections of all the ships in the company’s fleet within the last 36 months. This ratio is compared with the average for all ships inspected in the Paris MoU over the last 3 calendar years to determine whether the index is average, above average or below average as follows:

Detention index                              Detention rate

Above average                                 > 2 above PMoU average

Average                                           PMoU average ± 2%

Below average                                 > 2 below PMoU average

The table below gives an indication how the performance is calculated.